Tuesday, July 19, 2005

bloomberg: china's military expansion

jul 19th

yeah right, the 'peaceful rise of china' indeed. this is strategic deception.

http://www.bloomberg.com/apps/news?pid=10000087&sid=aYqOIcTAg7Zw&refer=top_world_news

3 comments:

san said...

Here's a BBC op-ed article which notes that Pak govt is awaiting the collapse of the non-performing Karzai govt in Kabul, and looking to steer the US into supporting "moderate Taliban". This is not unlike the US bringing back elements of the former Baathist regime in Iraq to help it. But as we can see, this may only be resulting in the worst of both worlds for the US in both Afghanistan and Iraq.

If the US and Pak go for the "moderate Taliban" who remain in Pak's orbit, then India should be wary, as this will restore Pakistan's wish for "Strategic Depth" so that it can pursue hostilities against India in Kashmir.

Should the recent US overtures towards India be seen in this light? Is the US trying to bring India onside with nuclear technology bribes, to give it more maneuvering room in restoring Pakistani control over chaotic Afghanistan?

Anonymous said...

Unrelated to the above post.

Here's an article in A times which talks of manufacturing about to arrive in India.

http://www.atimes.com/atimes/South_Asia/GG15Df01.html

Hope manufacturing leads the growth in the years to come.

san said...

Read how
China's scrapping its currency peg to the US Dollar!


That's a sudden announcement that'll be sure to catch the markets off guard.

I wonder if it's linked to the recent spate of accusations between the US and China?

Is the scrapping of the currency peg a prelude to a Chinese move to more firmly insulate itself from the US, so as to pursue a more confrontationalist policy towards America?

After all, it's hard to pursue war against a country that you're setting up as your main golden goose, by pegging your currency to cater to its market.

But also, we see the recent furor in the US Congress over Chinese attempts at acquisitions of US companies. The currency policy change may be partly in reaction to that. The Chinese may be trying to hedge their holdings by diversifying to others beyond the US.

I think this currency news will be bad news for Wal-Mart and others who rely upon cheap Chinese imports. I'm curious to see how Wal-Mart stock does, in reaction to this news.

In a way, this relates to that previous post about manufacturing arriving in India, because as China reduces its focus on the US, then it's an opportunity for India to move in on the US market.

The growth of manufacturing in India will be a severe blow to Leftists, as any boom in low-skill blue-collar jobs will give the poor a real chance to climb up economically, depriving the leftist opiate-peddlers of their captive audience.